Kian Ann Engineering Limited trades tractor parts and diesel engine spares. The Company also trades and manufactures machinery spares, provides logistics and warehousing services, and invests in properties.
Established in 1965, Kian Ann Engineering Pte Ltd is one of the world’s largest independent distributors of heavy machinery parts and diesel engine components for excavators, bulldozers, wheel loaders, motor graders, trucks, trailers, power generation sets and marine engines.
Kian Ann is headquartered in Singapore and has subsidiary and associated companies in inter alia, China, Indonesia, Malaysia, Thailand, the United States of America, Canada and the United Kingdom.
KAG continues to find trading conditions in South East Asia highly competitive, particularly in Malaysia, Indonesia and Singapore itself. This has been the primary reason for revenue decreasing 20% year-on-year, from S$161,4 million to S$129,4 million. KAG’s strategy of diversifying its sales into other geographical locations has helped mitigate this decline. Sales to non-Asian regions now make up 27% of KAG’s revenue.
Gross profit for the 2020 financial year decreased 35% year-on-year, mainly due to decreased sales, compounded by an additional provision for slow moving stocks of S$5 million (S$4 million after-tax impact) arising from a refinement of our provisioning methodology during the year.
Total overhead expenses decreased by 9% year-on-year. The adoption of IFRS 16 has resulted in a decrease of rental expenses, which was partially offset by the increase in the depreciation of right-of-use assets.
The performance of KAG was enhanced through the strong performance of both its investment of 26% in Kunshan Kensetsu Buhin (KKB) the roller manufacturer in China, as well as its 50% shareholding in the parts distribution network in Canada and the USA, where profits rose from S$3,7 million to S$4,7 million, an improvement of 27%.
KAG’s 2020 results should be considered after taking into account the exclusion of a once-off additional stock provision, due to the refinement of the stock policy (S$4 million), impairment of goodwill (S$0,7 million), fair value gains on derivative assets (S$2,8 million) and an impairment of its investment in an associate (S$0,3 million), compared to a gain on disposal of a subsidiary (S$0,5 million) in FY2019, resulting in profit attributable to shareholders decreasing by 25% year-on-year, from S$10,9 million in FY2019 to S$8,2 million in FY2020.
Steve Woods Limited is an established leading supplier of excavator/bulldozer undercarriage parts that sell both new and refurbished parts to suit all major excavators/bulldozers. The company supplies to the UK and other countries overseas. Read More
North American Tractor & Excavator Parts has more than 40 years of experience serving dealers in diverse industries ranging from infrastructure development, construction, forestry and mining. NATparts carries large supply of parts in its inventory to meet customers’ demands. Read More
SKL Equipment Private Limited is a joint venture with KIAN ANN Engineering Pte Ltd in India. Started in 2016 in India, till today, We have served India’s major customers in mining, construction and infrastructure segment serving machine from 7T to 250T class. Read More
KTSU manufactures and supplies the industry’s most extensive coverage of sprockets, idlers and rollers. Read More
PT Haneagle Heavyparts Indonesia (HHI) holds one of the most extensive range of under-carriage (UC) parts & components in Indonesia to support the mining, forestry, quarry & construction industries. Read More